Statement 1: Bank service charge is a book reconciling item and will never affect the bank proof of cash. Statement 2: The notes collected by the bank in prior period is added to current months receipts to arrive at the book adjusted cash balance. Only statement 1 is true Only statement 2 is true Both statements are true Both statements are false
Statement 1: Bank service charge is a book reconciling item and will never affect the bank proof of cash. Statement 2: The notes collected by the bank in prior period is added to current months receipts to arrive at the book adjusted cash balance. Only statement 1 is true Only statement 2 is true Both statements are true Both statements are false
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Statement 1: Bank service charge is a book reconciling item and will never affect the bank proof of cash. Statement 2: The notes collected by the bank in prior period is added to current months receipts to arrive at the book adjusted cash balance.
Only statement 1 is true
Only statement 2 is true
Both statements are true
Both statements are false
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